Markets saw the pound hit a three-week high against the euro yesterday due to a cocktail of contributing factors. Some of these included better than expected PMI data, the Supreme Court’s ruling against a Scottish independence referendum and the PM’s promise of closer relationships with the EU. Against the dollar, sterling climbed to its strongest point in three months yesterday and continues on the same path this morning.
Britain’s rail strikes are set to continue over the course of the coming weeks and months with more than 40,000 members across Network Rail and 14 train companies due to walk out. The strike action will take place over a series of 48-hour strikes running up to January and are likely to cause some significant economic costs across the country.
Eurozone PMI rose in yesterday’s data release however, the latest data still indicated the second-biggest decline in companies’ activity for nine years (excluding the coronavirus lockdown period’s we’ve had over the last few years).
Over in China, reports of violent protests at Apple’s main iPhone plant surfaced as tensions hit breaking point amidst tough Covid restrictions. These are the same restrictions that boosted the dollar against the yuan and other major currencies at the start of this week as investors turned to the US dollar once more for safety.
Meanwhile, the US Supreme Court has given lawmakers the greenlight to access former president Donald Trump’s tax returns. This follows numerous attempts by Trump to keep this information concealed throughout the ongoing Federal investigation.
Make sure any upcoming transactions are protected against the risks of sudden market movements. Secure a fixed exchange rate now with a forward contract; call your Personal Trader on 020 7898 0541 to get started.
